OTTAWA, March 7 (Reuters) - Canada's trade deficit in
January dwindled to just C$237 million ($230 million) as exports
grew at a faster rate than imports, Statistics Canada said on
Thursday.

The deficit - less than the C$600 million predicted by
market operators - represented the best performance since the
C$21 million surplus recorded in March 2012. Statscan revised
December's deficit to C$332 million from an initial $901
million.

January exports rose by 2.1 percent - the greatest
month-on-month increase since the 4.3 percent jump seen in
December 2011 - thanks to higher prices and volumes for crude
oil and crude bitumen as well as precious metals.

Imports increased by 1.9 percent on higher volumes, mainly
due to higher shipments of energy products. Imports of metal
ores and industrial machinery also grew.

Exports to the United States - which took 74.2 percent of
all Canadian exports in January - grew by 2.6 percent while
imports grew by 2.1 percent. As a result, Canada's trade surplus
with the United States increased to C$4.25 billion from C$4.03
billion in December.